Wednesday, June 2, 2010

Capitol Improvement TAX renewal NO or YES

Could not get the charts to load up with this but anyone who is interested in viewing I can send them via e-mail.

Sequence of the Financial Progression of EverySpringfield Capital Improvement Project

1. A project is proposed for authorization by the Administration. A proposed budget cost accompanies the proposal

2. The project is approved by City Council

3. The project is initiated at the discretion of the City Manager. Managing the project throughout its history is the City Manager's responsibility.

4. Whenever a project is started, and C.I.P. money is spent:

The total spent in every 6 month period is reported in a semi-annual Capital Improvements Projects StatusReport

The total cost for completion of the project can be revised

The expected remaining cost for completion of the project can be calculated – but is not reported.

City charter allows the City Manager to adjust individual project budgets as needed.

The final cost of the project is recorded as the total amount spent to complete the project.

How Does Springfield Currently Categorize Its Capital Improvement Projects?

Projects are divided into the following groups :

Springfield-Branson Regional Airport (8 active projects)

Springfield Art Museum (1 completed project)

Fire Department (2 active projects)

Municipal Buildings, Grounds & Streetscapes (16active projects)

Public Parks (34 active projects)

Sanitary Sewerage System (20 active projects)

Solid Waste (8 active projects)

Storm Water Projects (26 active projects)

Street Projects (26 active projects)

Traffic Engineering (14 active projects)

P.W. Shared Cost Agreement (Greene Co) (1 active project)
Total = 156 active projects

How Have The Current C.I.P Funds Been Spent In The Past Few Years, And How Much Will It
Cost The Taxpayers To Finish All Active Unfinished Projects?

What has been spent by Springfield in fiscal years 20082009 for each c.i.p. category?

How much will it cost taxpayers to complete all the projects in each (red) category?

Do all the projects meet vital core-citizen need requirements?

The total cost of unfinished projects is$244,518,321!

The Administration KNOWS it can't finish ever started capital project within any single budget year. But they KNOW they can pick & choose which projects they WANT to work on.

What are their choices?

There are $45 million in the “Parks” and “Municipal Buildings” categories – that aren't in any vital “citizen needs” group.

So, what does City Hall threaten citizens with if they don't vote for renewal of the CIP tax? The on-going road projects and the sewer projects citizens need will bestopped in their tracks – It's like they are telling voters:

“Suffer the consequences, you ignorant voters for not letting your administration spend your money the way we always have” (Our way!)

Does the City's Capital spending have any further effectson its budgetary problems? The City's long-term debt obligation is steadily rising.

Springfield's spending is equivalent to an ordinary citizen using a credit card to buy big thing that can't be paid out of current income.

What does the City of Springfield do when it can't pay for everything out of current revenue? It
sells municipal bonds, and finances major capital items that are not covered by current revenue. Interest has to be paid on their long term debt obligations.

Just how much does the City of Springfield pay every year to service this long-term debt obligation?

Interest payment on the bonds due is virtually equal to the revenue generated by the ¼ cent CIP tax. This interest payment comes straight out of Operating Budget. The Operating Budget that can't afford to hire more police and firemen.


The City of Springfield's Administration picks and chooses approved projects that will be started and completed.

With Council's approval, the Administration has spent great sums on citizens' non-core need projects in the recent past -- parks and streetscapes to name a few.

The City's overspending has generated a huge long term debt obligation.

The loss of revenue from repeal of the ¼ cent CIP tax can be balanced by cutting down spending on nonessential capital projects.

The Administration currently has no intention tomodify their Capital Improvement Project spending operations.

The only way Springfield citizens can keep the City from spending money that not covered by current revenue is to vote NO on the ¼ cent CIP tax renewal ballot. Essential projects WON'T have to be cut.

This economic downturn is a terrible time to continue spending taxpayer funds on the City's nice-but frivolous projects.

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